I've my Private limited company registered in Jaipur in my owned apartment. I live in Bangalore, in a rented apartment. I want my company to pay for my rent in Bangalore? I understand that I would need to convert my rental agreement in the name of company. Do I need to mention in rental agreement that the premises will be used for business activity? Since my business is software development, there is no actual activity as such. Is there any NOC required from owner for business activity(on paper)?
Hi,
Since, you would be using the premises for personal as well as official purpose, you will only get proportional expense in company.
Its better of you write in the agreement that premises would be used for both personal as well as official purpose.
Hi
Yes rental agreement should be specific about personal & professional use of the property
Yes, if the premises would be used for both personal and business purposes, the rent expenditure allowed would be proportionate. And the rent agreement should mention the fact.
NOC would be required from the owner of the property allowing to use the property as registered office of the company.
Dear Sir,
Hope you are doing well !!
Yes, you need to mention the same in rental agreement. Also, you will get the deduction on proportionate basis.
Yes, NOC would be required to use the property for business purpose.
You need to first convert the rent agreement in name of company and then if the same is used by you for living it will be added as perquisite in your remuneration.
Also since you are working from there and your company is registered in Jaipur you need to also take GST registration there also.
If it is mentioned in rent agreement it would be enough.
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Thank you.
Yes, you will need to mention in the agreement that premises will be used for business activity. NOC is not mandatory.
You can show some employees based there and show some salary to them.
